GM delays innovative new diesel truck engine

General Motors' deteriorating financial situation has caused the company to delay one of the most advanced engines that it has ever designed, a 4.5-liter diesel for light-duty trucks.

"We have to make tough decisions right now," said GM Powertrain spokeswoman Susan Garavaglia.

Truck enthusiasts were eagerly awaiting the engine, which would have started production next fall at GM's plant in Tonawanda, N.Y. The engine has unique cylinder heads that eliminate the intake and exhaust manifolds. Its lightweight block has advanced castings for the crankshaft-bearing journals and oil-circulation system.

GM had planned to install the engine in the Chevrolet Silverado and GMC Sierra pickups. The result would have been a fuel-efficient truck priced for less than the heavy duty diesel-powered trucks available now.

The move comes three weeks before a U.S. auto task force is set to determine whether the automaker deserves an additional $16.6 billion in federal aid. GM, kept afloat by $13.4 billion in U.S. loans received so far, is trying to shed brands, sell assets and curb spending as it battles a worldwide collapse in auto sales after four profitless years.

Selling the rights? GM has been awarded several patents for the engine design, and early tests have shown the new motor to be as smooth and quiet as a gasoline engine. Development of the engine was far along when the decision was made to put the program on hold. Rights to the engine may be sold to another company, Garavaglia said. If GM decides to revive the engine, it would likely take at least a year for it to enter production. Meanwhile, GM will not be out of the diesel truck business. The company will continue to offer the 6.6-liter Duramax engine in heavy-duty pickups and modify it as necessary to meet tougher emissions standards. GM also has just launched Two Mode hybrid versions of the Silverado and Sierra, which get an EPA rated 21 mpg city and 22 mpg highway. The 4.5-liter diesel would have raised the trucks' fuel economy into the mid to high 20s mpg. Last month, GM scrapped plans to build an engine plant for the upcoming Chevrolet Volt plug-in hybrid and Cruze small car. Instead, the engines will initially come from a European factory while an existing factory in Flint, Mich., is retooled to make the new engines. GM Powertrain Group Vice President Tom Stephens recently said that all of GM's future production plans are constantly being re-evaluated.

VW gives the Golf fresh look, competitive price

Volkswagen has given its next Golf a fresh design, new technology and a competitive price in a bid to maintain the car's position as Europe's top-selling lower-medium model.

The sixth-generation Golf will be unveiled at the Paris auto show in October and will go on sale in Europe shortly after.

The new entry-level Golf will cost 16,500 euros in Germany, about 200 euros more than the current car.

ENLARGE

Redesigned key elements

VW has redesigned key elements of the current Golf to give the new model a sportier and more distinctive appearance than previous generations of the car. The wide grille is similar to that of the new Scirocco coupe.

The new Golf will have diesel engines equipped with common-rail injection technology, which is quieter than the current pump-injection diesel technology.

The new Golf's Euro 5-standard gasoline and diesel engines are up to 28 percent more fuel efficient than engines in the current car.

The most fuel-efficient engine, a 110hp, 2.0-liter diesel, uses 4.5 liters of fuel per 100 kilometers, a 0.6 liter reduction compared with the current engine. It emits 119g/km of CO2.

For the first time, the Golf will be offered with adaptive chassis and automatic distance control, and parking assistance.

VW has sold 26 million Golfs since the car was launched in 2003. Last year, VW sold 548,942 Golfs in Europe, according to JATO Dynamics.

Ford could face suit over troublesome truck engine

Ford Motor Co. once again could be haunted by a diesel engine problem resulting from a batch of bad engines used in 2003- and 2004-model trucks.

A federal court reinstated a lawsuit Wednesday against Ford alleging that the automaker equipped its 2004-model diesel-powered Super Duty pickups with flawed engines from the 2003 model year.

The ruling reopens a motion previously filed to give the suit against Ford class-action status.

The 6th Circuit Court of Appeals in Cincinnati ruled in favor of Kenneth E. Corder of Louisville, Ky., who sued Ford in 2005.

According to court documents, Corder purchased a 2004 F-250 Super Duty pickup that contained a 2003 model year version of the 6.0-liter Power Stroke, instead of the improved 2004-model engine.

Corder said he waited to purchase the 2004 model because of "widely reported problems" with the 2003 engine model, according to court documents.

"The engine in the 2003 F-250 truck was notorious for its deficiencies, which were widely publicized, including leaky fuel injectors, oil leaks, broken turbochargers, wiring harness troubles, faulty sensors, defective exhaust gas recirculation valves and bad computers," U.S. District Judge William Schwarzer wrote in an opinion Wednesday.

Corder sued Ford in 2005 and filed a motion for class-action status to represent anyone who bought a 2004 pickup with a 2003-model engine.

A two-judge majority of three federal judges ruled in favor of reinstating the case. The dissenting judge was U.S. District Judge David McKeague.

"Ford is disappointed with the decision," spokesman Marcey Evans wrote in an e-mail to Automotive News. "The company agrees with Judge McKeague that it is not misleading or deceptive not to inform car purchasers about the manufacturing history of vehicle components, and that the plaintiff in this case, who is satisfied with his properly-performing vehicle, has suffered no loss. We believe that a jury is likely to reach these same conclusions as well."

Ford argued that its engines do not have model years. But Schwarzer wrote today there is "substantial evidence" that Ford distinguished between the 2003 model and 2004 model diesel engines, according to court documents.

The documents cite internal letters from Ford that distinguish between a 2003 engine and 2004 engine.

A U.S. district judge dismissed the suit in 2007 before ruling on the motion seeking class-action status.

The case now returns to U.S. District Court in Louisville for further proceedings.

Ford faced engine problems in 2003- and 2004-model Power Stroke trucks. Automotive News reported in 2005 that at least 58 suits were filed against Ford involving quality problems with the engines.

Ford said in 2005 that its warranty costs soared by $500 million through the first nine months of that year compared with the same period in 2004. Part of the increased costs were to pay for repairs of the faulty diesel engine.